Financial hardships can happen to anyone, and when they do, they can feel overwhelming. If you’re facing foreclosure by a bank or the possibility of a tax sale due to unpaid property taxes in New Brunswick, know that you have options—and that it’s possible to find a path forward without judgment, pressure, or shame. In this blog we will explore all your options, including selling before foreclosure in New Brunswick.
Please don’t give up. The sooner you act, the more options you may have available. If you have already received notice from your lender or municipality, it’s critical that we move quickly. Even if you haven’t received notice yet, but foreclosure or tax sale feels imminent, starting the process now gives you a fighting chance to protect your interests and move forward on your own terms.
This blog is here to offer information and support. Whatever your situation looks like, there are steps you can take.
Understanding Foreclosure and Tax Sales
Foreclosure happens when a lender (usually a bank) begins legal proceedings to take ownership of a property because mortgage payments have fallen behind.
Tax sales happen when municipal property taxes go unpaid for a long enough period that the municipality can sell the property to recover the unpaid taxes.
Both situations can feel daunting. But it’s important to know that until the property is officially sold by the bank or municipality, you still have time and options.
Your Options If You’re Facing Foreclosure or Tax Sale
1. Catch Up on Payments
If your financial situation improves, you may be able to negotiate a payment plan with your lender or municipality to bring your mortgage or tax account back into good standing.
2. Seek Professional Financial Advice
Speaking with a financial advisor, credit counselor, or lawyer experienced in real estate matters can help you fully understand your situation and options. They can sometimes negotiate with lenders or municipalities on your behalf.
3. Refinance Your Mortgage
Depending on your equity and credit situation, you might be able to refinance your home—essentially replacing your existing mortgage with a new one, possibly at better terms or with a longer repayment period.
4. Sell the Property Before Foreclosure or Tax Sale
Selling your property before foreclosure or tax sale In New Brunswick can help you avoid long-term financial consequences—and may even leave you with money in hand. If this is something you’re considering, keep reading below where I explain the process and timing in more detail.
5. Family Member or Friend Investment
Another option may be to involve a trusted family member or friend. In some cases, they can purchase an interest in the property by helping you catch up on mortgage or tax payments. Their name can be added to the title, giving them a stake in the property and a say in any future sales. Sometimes, combining their investment with refinancing the mortgage can result in more manageable monthly payments. While this option can provide a lifeline, it’s important to have clear legal agreements in place to protect everyone’s interests.
Selling Before Foreclosure or Tax Sale: How It Works
Selling before foreclosure or tax sale in New Brunswick gives you control over the process, allows you to avoid the long-term consequences of foreclosure or tax sale on your financial record, and—depending on what you owe and what your property is worth—can potentially leave you with money in your pocket.
When selling before foreclosure, the goal is to secure a firm offer with a closing date prior to the foreclosure date. In some cases, your REALTOR® can work with the bank to negotiate a small extension to allow the sale to close, as lenders are often willing to cooperate once they see a firm offer in place.
In a tax sale situation, time is even more critical. The outstanding property taxes must be paid in full before the scheduled tax sale date, and there is typically little to no flexibility for extensions. Municipalities follow strict timelines.
If you’re facing an urgent deadline, a qualified REALTOR® can often list your property in as little as 1–2 days to get it on the market quickly. Strategic pricing is key in these situations—pricing the property competitively can generate fast interest and serious offers, maximizing your chances of a successful sale before the critical deadlines.
Reaching out to the right REALTOR® might even mean a sale without ever going to market. Many REALTORS® work with buyers actively looking for properties—including those willing to take on homes that need repairs—meaning a quick and discreet sale could be possible.
While there may be fees associated with paying off your mortgage early—particularly if you have a fixed-rate mortgage rather than an open mortgage—the benefits usually outweigh the costs. Avoiding the long-term impact on your credit score, preserving your financial reputation, and potentially even walking away with cash in hand can make selling the preferred option for many homeowners.
Even if time feels tight, it’s often possible to list and sell a property quickly with the right plan and professional support.
What to Expect If You Choose to Explore Selling
If selling your property sounds like a possible path forward, here’s what you can expect:
- Step 1: Meet and Review — We sit down to review your situation together. It’s important to bring any relevant documents, including the foreclosure or tax sale notice, mortgage details (amount owing, lender information), and whether your mortgage is open or closed, including any penalties for early payout.
- Step 2: Determine Market Value — I will complete a Comparative Market Analysis (CMA) right away, giving you a realistic idea of what your property can sell for in today’s market.
- Step 3: Review Costs and Net Proceeds — We’ll go over all potential closing costs, any payout penalties, and my commission (which is discounted for foreclosure and tax sale situations). We will determine if there is enough equity left after a sale to fully satisfy your debts.
- Step 4: Create a Plan — If selling makes sense, we move quickly. We’ll complete listing paperwork and arrange for photography and marketing materials—often within a day or two.
- Step 5: Strategic Marketing and Pricing — I will market your property aggressively to attract buyers quickly, always balancing speed with getting you the best possible outcome.
The entire goal is to leave you in the best financial position possible so you can move forward with confidence.
Compassionate Help, Not Pressure
If you’re in a situation where foreclosure or a tax sale is looming, know this:
- You’re not alone.
- There is no shame in reaching out for help.
- You deserve clear information and compassionate, professional support.
Selling your property is not about giving up; it’s about taking control of your future.
If you think selling before foreclosure or tax sale in New Brunswick might be the right path for you, I’m here to help—without pressure or judgment. I’ll give you honest advice about your options, what your property could sell for in today’s market, and how quickly we can realistically move.
It starts with a conversation, and there’s absolutely no obligation.
Tim Clancy, REALTOR®
Serving central New Brunswick with integrity and transparency
TimClancy.ca
506-567-8541
Giving back with every sale through Keys 4 Kindness
